July home loan snapshot: Rates have increased, but prices have been decreasing

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As the Reserve Bank of Australia (RBA) raised the official cash rate again in June - up from 0.35% to 0.85% - we saw banks again revising their variable and fixed rates. 

Of the 96 lenders we track, 74 passed on the full 0.50% rate hike to their customers, 6 lenders raised rates only partially, and the remaining 2 increased their rates by more than 0.50%. 

To further spice things up, several Corelogic, Domain and CBA reports say that property prices have begun to slow down

As interest rates continue to rise across the board, we’ve said goodbye to the days with rates below 2% p.a. in both fixed and variable rates.

If that isn’t disheartening enough, economists have said to expect another 0.50% official cash rate jump in July, which would put us at 1.35%. That means we may have to say goodbye to rates below a ‘3’. No matter what happens over the next two months, home loan rates are still relatively low historically speaking, and some research can ensure that you pick up a decent rate. Also, NSW has introduced a new land tax option to replace stamp duty for first time home buyers, which could help new home buyers enter the market quicker. 

So what are the lowest and average home loan rates in our database? What do variable rates and fixed rates look like after the RBA hike? Find out below.

Recent fixed and variable rate movements

Since the RBA lifted the cash rate in June, 74 of the 96 lenders in the Mozo database have raised their variable rates in line with the RBA.

Some of the notable changes from the last month include.

  • All big four banks raised interest rates by 50 basis points, in line with the new cash rate.
  • MOVE Bank increased rates by 50 basis points, but its
    Straightforward Home Loan rates only increased by 40 basis points.
  • GMCU increased variable rates by 45 basis points rather than the full 50 basis points.

Looking at fixed rates, some notable changes include:

  • Athena withdrew all its fixed interest rate options.
  • HSBC significantly hiked its fixed rates by 90 to 150 basis points, depending on the term date.
  • Macquarie also raised its fixed rates by 110 to 166 basis points, depending on the term.

Lowest home loan rates

Rates might have increased across the board, but there are still lenders offering home loan rates below 3% p.a. in our database. Here’s a look at the lowest variable and fixed mortgage rates (P&I, LVR <80%) among lenders we track.

Lowest variable rates — Mozo database (July 1, 2022)^^

LenderLoanVariable rate
Unity Bank

First Home Buyer Variable Rate Special2.38% p.a. (2.40% p.a. comparison rate*)
Easy Street

Street Smart Variable Home Loan2.39% p.a. (2.44% p.a. comparison rate*)
Credit Union SA

Variable Rate Home Loan Special Offer2.44% p.a. (2.88% p.a. comparison rate*)
P&N Bank

& Basic Home Loan2.44% p.a. (2.44% p.a. comparison rate*)
Southern Cross Credit Union

Basic Home Loan Special Offer2.48% p.a. (2.53% p.a. comparison rate*)

Lowest and average fixed rates — Mozo database (July 1, 2022)^^

TermRate leaderFixed rate
1-yearBank of Us2.99% p.a. (2.79% p.a. comparison rate*)
2-yearThe Capricornian3.39% p.a. (4.58% p.a. comparison rate*)
3-yearFamily First Credit
Union
3.79% p.a. (4.21% p.a. comparison rate*)
4-yearSouthern Cross
Credit Union
4.59% p.a. (3.55% p.a. comparison rate*)
5-yearSouthern Cross
Credit Union
4.79% p.a. (3.75% p.a. comparison rate*)

Remember that these are the lowest rates available in our database for borrowers with an <80% LVR. More competitive rates tend to be available for borrowers with LVRs below 70% and 60%.

Are you thinking about a property or looking to refinance your existing mortgage? Use Mozo’s handy home loan comparison table to examine lenders side-by-side.

^^Interest rates are based on an owner occupier making principal and interest repayments on a $400,000 loan with an 80% LVR. Check out our dedicated Australian home loan statistics page for more information on average mortgage rates.

Home loan comparisons on Mozo

Mozo may receive payment if you click the products below. We don’t compare the entire market, but you can search our database of 473 home loans.
Last updated 15 June 2024 Important disclosures and comparison rate warning*
  • Unloan Variable

    • Owner Occupier
    • LVR <80%
    Interest rate
    5.99 % p.a.
    Variable
    Comparison rate
    5.90 % p.a.
    Initial monthly repayment
    $2,995
    Go to site

    Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for borrowers. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.

  • Basic Home Loan

    • Owner Occupier
    • LVR<60%
    • Principal & Interest
    Interest rate
    6.14 % p.a.
    Variable
    Comparison rate
    6.16 % p.a.
    Initial monthly repayment
    $3,043
    Go to site

    Enjoy a low rate home loan with $0 application fee and $0 ongoing fees. Flexibility to split your loan and set different repayment types. Fee free redraw from your loan using online banking. Flexible ways to repay. 40% Deposit required.

  • Unloan Variable

    • Owner Occupier
    • LVR <80%
    Interest rate
    5.99 % p.a.
    Variable
    Comparison rate
    5.90 % p.a.
    Initial monthly repayment
    $2,995
    Go to site

    Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for borrowers. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.

  • Discount Variable Home Loan

    • Owner Occupier
    • LVR<70%
    Interest rate
    5.99 % p.a.
    Variable
    Comparison rate
    6.01 % p.a.
    Initial monthly repayment
    $2,995
    Go to site

    A low rate home loan for owner-occupiers packed with great features including unlimited extra repayments, free online redraw, no application or monthly admin fees. Rate will vary depending on LVR. Winner of a Mozo Experts Choice 2024 Low Cost Home Loan Award^

  • Variable Home Loan 90

    • Principal and Interest
    • LVR <90%
    Interest rate
    6.04 % p.a.
    Variable
    Comparison rate
    6.06 % p.a.
    Initial monthly repayment
    $3,011
    Go to site

    Affordable home loan rate for buyers or refinancers. No monthly or ongoing fees. Option to add an offset for 0.10%. Access to savings with unlimited redraws available. Minimum 10% deposit required.

  • Fixed Rate Loan

    • Owner Occupier
    • Principal & Interest
    • LVR <80%
    Interest rate
    6.09 % p.a.
    Fixed 3 years
    Comparison rate
    6.15 % p.a.
    Initial monthly repayment
    $3,027

    Additional repayments of up to $10K per fixed year. Interest rate discounts available. Waiver of $499 application fee when combined with an Orange Advantage Home Loan.

  • The Better Home Loan Special Offer

    • Owner Occupier
    • Principal & Interest
    • LVR<80%
    Interest rate
    6.14 % p.a.
    Variable
    Comparison rate
    6.14 % p.a.
    Initial monthly repayment
    $3,043
    Go to site

    Enjoy a variable rate home loan with a bunch of features from Police Credit Union. Make extra repayments at any time without penalty. No monthly, annual or upfront fees. Free online redraw. Minimum 20% deposit. Qualifying criteria applies. Minimum loan amount is 200K. For new customers only. Mozo Experts Choice Home Lender Credit Union of the Year 2023.

  • Basic Home Loan

    • Owner Occupier
    • LVR<60%
    • Principal & Interest
    Interest rate
    6.14 % p.a.
    Variable
    Comparison rate
    6.16 % p.a.
    Initial monthly repayment
    $3,043
    Go to site

    Enjoy a low rate home loan with $0 application fee and $0 ongoing fees. Flexibility to split your loan and set different repayment types. Fee free redraw from your loan using online banking. Flexible ways to repay. 40% Deposit required.

  • Mortgage Simplifier

    • LVR<80%
    • Owner Occupier
    • Principal & Interest
    Interest rate
    6.14 % p.a.
    Variable
    Comparison rate
    6.17 % p.a.
    Initial monthly repayment
    $3,043

    Get a competitive variable rate with ING’s Mortgage Simplifier. Free extra repayments, no monthly or annual fees. Freedom to make free extra repayments or redraws.

  • Offset Home Loan

    • Owner Occupier
    • LVR<60%
    • Principal & Interest
    Interest rate
    6.14 % p.a.
    Variable
    Comparison rate
    6.39 % p.a.
    Initial monthly repayment
    $3,043
    Go to site

    Ability to open up to 10 offset accounts per loan account. Fast online application. Linked Debit Mastercard® with fee-free access at ATMs across Australia. Package a credit card with your home loan and the annual card fee will be waived (T&Cs apply). 40% deposit required.

  • Basic Home Loan

    • Fixed
    • Owner Occupier
    • Principal & Interest
    • LVR<70%
    Interest rate
    6.25 % p.a.
    Fixed 3 years
    Comparison rate
    6.20 % p.a.
    Initial monthly repayment
    $3,079
    Go to site

    No upfront or ongoing fees. Free extra repayments and redraw facility. Option to earn Qantas points. Min 30% deposit required. Borrow up to $750,000.

  • Fixed Rate

    • Owner Occupier
    • Principal & Interest
    • <80% LVR
    Interest rate
    6.59 % p.a.
    Fixed 3 years
    Comparison rate
    7.06 % p.a.
    Initial monthly repayment
    $3,190

    Enjoy up to $3000 cashback for eligible first home buyers and $2000 cashback for refinancers on eligible home loans with the ANZ Fixed Rate Home Loan. Get the security of repayment certainty with a competitive locked in rate. No ongoing fees to pay. Offset account on 1-year fixed loans ($10/month fee applies). Interest-only payments allowed.

image of houses

Need help with refinancing?

You might have questions that need personal answers. We’ve teamed up with the mortgage brokers at Lendi to get you the answers you need, and a home loan deal you deserve.

Learn more

* WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for $150,000 over 25 years.

** Initial monthly repayment figures are estimates only, based on the advertised rate. You can change the loan amount and term in the input boxes at the top of this table. Rates, fees and charges and therefore the total cost of the loan may vary depending on your loan amount, loan term, and credit history. Actual repayments will depend on your individual circumstances and interest rate changes.

^See information about the Mozo Experts Choice Home Loan Awards

Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.

While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.